Promotional Products
EducationSafety and Incentive Program Tips and AdviceIncentive Programs: Case Study 5
EducationSafety and Incentive Program Tips and AdviceIncentive Programs: Case Study 5
Incentive Programs: Case Study 5
Case Study # 5 :: A Small Manufacturing Plant
Client Objectives:
Improve safety performance and reduce worker's compensation insurance premiums.
Solution:
A small, 90 person, manufacturing plant had an ongoing safety attitude and performance problem. Management's attention to the problem peaked when worker's compensation insurance premiums skyrocketed by over $60,000 in one year alone.
Management set a first year goal of reducing accidents by 50%. This meant if workeers wracked up less than 3 injuries per quarter, they would be rewarded with point certificates enabling them to select merchandise from the awards catalog. Employees began to push one another to stop unsafe work habits such as failing to wear safety glasses, running, and not wearing other safety apparel. After four years, the success was measured by the fact that $50,000 in point certificates was distributed among employees for saving $200,000 on workers compensation insurance.
The incentives were extended to other cost savings opportunity areas. Employees received 20,000 points ($100) per quarter if the decrease in plant waste was 50% or more. Within two quarters, the goal was acheived. The savings were over $100,000 for an investment of $10,000.
Results:
The plant currently has one of the best safety records in the business. The waste reduction goals were met, the bonuses have ended and waste has continued to fall. The advantage of using incentives is that once you finally get people to change, you do not have to keep rewarding them for performing to safety expectations, it becomes habit and occurs naturally!
Client Objectives:
Improve safety performance and reduce worker's compensation insurance premiums.
Solution:
A small, 90 person, manufacturing plant had an ongoing safety attitude and performance problem. Management's attention to the problem peaked when worker's compensation insurance premiums skyrocketed by over $60,000 in one year alone.
Management set a first year goal of reducing accidents by 50%. This meant if workeers wracked up less than 3 injuries per quarter, they would be rewarded with point certificates enabling them to select merchandise from the awards catalog. Employees began to push one another to stop unsafe work habits such as failing to wear safety glasses, running, and not wearing other safety apparel. After four years, the success was measured by the fact that $50,000 in point certificates was distributed among employees for saving $200,000 on workers compensation insurance.
The incentives were extended to other cost savings opportunity areas. Employees received 20,000 points ($100) per quarter if the decrease in plant waste was 50% or more. Within two quarters, the goal was acheived. The savings were over $100,000 for an investment of $10,000.
Results:
The plant currently has one of the best safety records in the business. The waste reduction goals were met, the bonuses have ended and waste has continued to fall. The advantage of using incentives is that once you finally get people to change, you do not have to keep rewarding them for performing to safety expectations, it becomes habit and occurs naturally!
Newsletter / Offers
Bestsellers